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Governor's Budget for NSHE Professionals

11 Feb 2023 12:54 PM | Kent Ervin (Administrator)

Summary of the Governor’s Recommended Budget for FY2024-FY2025

for NSHE Professional Employees

Nevada Faculty Alliance, 2/11/2023

The Governor’s budget is the starting point for legislative action. The Nevada Faculty Alliance is advocating for improvements in compensation and benefits for NSHE professionals and all state employees.


  • Cost-of-living adjustments (COLA) of 8% on 7/1/2023 and 4% on 7/1/2024.
  • “Retention bonuses” of $500 per quarter, 1/1/2023 through 6/30/2025.
  • NSHE CFO Andrew Clinger confirmed that the COLAs and the retention bonuses include NSHE classified and professional employees (Board of Regents, 2/3/2023, audio at 1:04:01).
  • Increased retirement plan contributions of 2% for the employee and 2% for the employer on 7/1/2023, offsetting the first-year COLA. For PERS members, pay is reduced by 2% with no change in retirement benefits. For employees on the NSHE retirement plan alternative, take-home pay is reduced by 2% but contributions into the 401a account are increased by 4% of salary.


The Public Employee Benefits Program will largely have the same plan design as for FY2023, which represents a partial restoration of the drastic cuts to PEBP benefits during the pandemic. Major differences for the next biennium versus the pre-pandemic FY2020 plan include:

  • Elimination of Long-Term Disability Insurance (leaving no safety net for faculty who have no Social Security Disability and no PERS early disability retirement).
  • Reduction of the HSA contribution for the employee from $700 to $600 and elimination of the $200 per dependent HSA contribution (high-deductible plan).
  • Reduction of basic life insurance by 40% from $25000 to $15000 for active employees.
  • Increased co-pays, a new $100 deductible, and 20% co-insurance for some services for the HMO/EPO plans.
  • An increase of the annual dental maximum from $1500 to $2000.
  • Addition of a cancer concierge service (expected to produce cost savings).

The low-deductible plan added in FY2023 will be continued. Employee premium contributions are unknown until the March PEBP rate-setting meeting but are not expected to rise dramatically.


  • Restores the 12% operating budget cuts from the last session due to the pandemic ($74M).
  • Negative enrollment caseload reductions of $16M are offset by $14.2M in one-time funds to CSN, GBC, and TMCC for enrollment recovery and to UNR for Sierra Nevada University enrollment
  • $9.2M enhancement to UNLV Medical School for class size increase.
  • $20M budget enhancement for graduate assistant stipends at UNLV and UNR.
  • $2M for added WSCH formula state support for summer school courses for teacher education.
  • No major building capital projects are funded for NSHE. A total of $70M for deferred maintenance and infrastructure.
  • For the seven formula-funded instructional budgets (CSN, GBC, NSC, TMCC, UNLV, UNR, & WNC), the state-appropriated funding resources will decline from pre-pandemic levels after considering inflation and increased retirement and benefits contributions.
  • Further details are in the NSHE Budget Overview.

Contact: Kent Ervin,

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Office: 702-530-4NFA (4632)

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